SEO Sai Gr. Hosp.
210554 Points
Joined July 2016
TDS u/s 195: In case of sale of property by NRI, it is mandatory for buyer to deduct 20.8% (PLUS SURcharge, if liable) TDS on the sale price of the property if capital gain is long term capital gain.
In case of short term capital gain, TDS will be 31.2% (plus Surcharge) irrespective of income tax slab of NRI.
TDS is applicable even if value of property is less than 50 lakhs.
But NRI can apply for a lower TDS deduction certificate u/s. 197 of the act from Jurisdictional Assessing Officer for allowing the residential buyer to deduct tax at a rate lower than TDS Rates as mentioned under section 195.